Truck shop sting success
A Commerce Commission crackdown on truck shops has resulted in almost $1 million in fines.
Two mobile traders are the latest to be fined - handed a total of more than $183,000 and ordered to return nearly $71,000 in fees to customers.
The sentences bring to just under $882,000 the total fines imposed by the courts so far in the Commerce Commission’s prosecutions against mobile traders.
The Commission has been working in the sector since it launched a report in 2015, which highlighted widespread problems.
Its staff visited 32 mobile traders, or truck shops, around New Zealand and found all but one, Home Direct, were not complying with their obligations under the Fair Trading Act and the Credit Contracts and Consumer Finance Act.
‘‘Thirteen prosecutions are now completed or before the courts, and the growing total in fines shows the seriousness with which the courts and the Commission regard this sort of offending,’’ said Commissioner Anna Rawlings.
In the latest proceedings, Manukau-based Budget Warehouse was fined $100,000 in the Auckland District Court, after pleading guilty to 18 charges relating to its customer contracts. The court ordered $33,419 in fees be returned to customers.